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9, The Clemson Company reported the following results last year for the manufacture sale of of its Sales known as a (3,200 ams at $137

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9, The Clemson Company reported the following results last year for the manufacture sale of of its Sales known as a (3,200 ams at $137 Variable cost of sales $438,400 Variable distribution 192,000 Fixed advertising costs 38,400 gent product line 276,000 Fixed manufacturing verhead 27,000 Net operating loss and on Company is trying to determine whether or not to discontinue the manufacture continue of The overhead in the foreseeable future above for year are expected would be represents the costs of if the product is dropped. fixed manufacturing with other products production facilities and equipment that Assume no change in produced If the Tam product that the fixed manufacturing product were dropped, there in other the costs of the company. annual product ines. If the ure and sale of Tams will have no effect on the operating income company the Tam product line, chang the (or loss) should be: A) $95,000 decrease B) $38,590 decrease C) $122,000 decrease D) $240,000 decrease E) one of above 10. Sorto Corporation has two divisions: the East Division and the West Division. The margin net operating income is $93,200. The East Division's divisional segment A) is $223,200 and the West Division's divisional margin is S15900 Whil amount of the common fixed expense segment $316,400 traceablf

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